Defence mutual funds
1 actively managed sector scheme and 7 index funds or ETFs whose names point to Defence, with the market index they follow. Returns from AMFI NAVs as of 27 Oct 2026.
Schemes on this page invest mainly in this part of the market. Where the NSE sector index stands today:
- P/E 54.9: higher than 73% of days since 2022 (median 47.5)
- 1Y +8.5% · 3Y +40.2% p.a. · 5Y n/a p.a. (index fund NAV, after costs)
- −11.8% from its 52-week high (proxy NAV)
Index levels and P/E: NSE daily index closing values; gold and silver: IBJA rates; returns: growth NAV of an index fund or ETF tracking the market (AMFI), so they are after that fund's costs. Context only: a market's level or valuation does not tell you how any scheme will perform. Explore all markets.
| Scheme | 1Y return | 3Y CAGR | 5Y CAGR | Volatility | Max drawdown | 3Y vs own benchmark TRI | TER | AUM (₹ cr) |
|---|---|---|---|---|---|---|---|---|
| HDFC Defence Fund HDFC Mutual Fund · Sectoral/Thematic · Direct | 14.9% | 35.3% | n/a | 31.5% | −34.5% | −6.2 pp | 0.90% | 10,976 |
"3Y vs own benchmark TRI" is the scheme's 3-year CAGR minus that of the total return index it is benchmarked to, as published by AMFI. Alphabetical order, not a ranking. Rolling returns and risk for this group
| Scheme | 1Y return | 3Y CAGR | 5Y CAGR | Volatility | Max drawdown | Tracking error | TER | AUM (₹ cr) |
|---|---|---|---|---|---|---|---|---|
| Aditya Birla Sun Life Nifty India Defence Index Fund Aditya Birla Sun Life Mutual Fund · Index Fund · Direct | 8.6% | n/a | n/a | n/a | −27.8% | n/a | 0.46% | 1,371 |
| Axis Nifty India Defence Index Fund Axis Mutual Fund · Index Fund · Direct | n/a | n/a | n/a | n/a | −14.4% | n/a | 0.65% | 351 |
| Groww Nifty India Defence ETF Groww Mutual Fund · Equity ETF | 8.6% | n/a | n/a | n/a | −26.9% | n/a | 0.64% | 337 |
| Invesco India Nifty India Defence Index Fund Invesco Mutual Fund · Index Fund · Direct | n/a | n/a | n/a | n/a | n/a | n/a | 0.29% | 36 |
| Mirae Asset BSE India Defence ETF Mirae Asset Mutual Fund · Equity ETF | n/a | n/a | n/a | n/a | −15.5% | n/a | 0.64% | 178 |
| Motilal Oswal Nifty India Defence ETF Motilal Oswal Mutual Fund · Equity ETF | 8.6% | n/a | n/a | n/a | −27.6% | n/a | 0.60% | 1,207 |
| Motilal Oswal Nifty India Defence Index Fund Motilal Oswal Mutual Fund · Index Fund · Direct | 8.4% | n/a | n/a | n/a | −38.2% | n/a | 0.56% | 5,152 |
Index funds and ETFs aim to match their index, so the useful comparison between them is cost (TER) and tracking error, not return rank. ETFs are bought and sold on the stock exchange through a demat account.
- How many mutual funds invest in Defence in India?
- MFIC finds 1 actively managed sectoral or thematic scheme and 7 index funds or ETFs whose names point to Defence (Direct plans; ETFs have a single plan), from AMFI's daily NAV file dated 27 Oct 2026.
- Does every scheme on this page hold only Defence stocks?
- Not necessarily. MFIC groups schemes by the sector or theme in the scheme name. SEBI requires sectoral and thematic schemes to keep at least 80% in their stated sector or theme, but the exact holdings come from each fund house's monthly portfolio, which MFIC does not yet read. Check the latest factsheet before relying on a scheme's exposure.
- Are sector funds riskier than diversified equity funds?
- A sector fund depends on one part of the economy, so its returns usually swing more than a diversified fund's and can lag for long periods. The volatility and maximum drawdown columns on this page show how much each scheme has moved in the past; past movements do not predict future ones.
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